Mini LBO Underwrite
You are underwriting a 5-year LBO for a private equity investment committee. Company (fictional): HarborTech Services (HTS) –…
All figures in $ millions unless noted. ENTRY (end FY2025) EBITDA = 120 Enterprise value = 12.0 × 120 = 1,440 Transaction fees = 2% × 1,440 = 28.8 Debt at close Term Loan = 4.0 × 120 = 480 Mezzanine = 1.5 × 120 = 180 Equity = EV − Debt + fees = 1,440 − 660 + 28.8 = 808.8 Starting balances Term Loan = 480 Mezz = 180…Read the full answer
HarborTech Services (HTS) – 5-Year LBO Analysis Year-by-Year Model (Base Case) Metric FY2026 FY2027 FY2028 FY2029 FY2030 Revenue $972.0 $1,040.0 $1,102.4 $1,157.6 $1,215.4 EBITDA $136.1 $156.0 $176.4 $191.0 $206.6 Cash Interest (Term) $43.2 $41.0 $37.6 $32.8 $26.8 Cash Interest (Mezz) $21.6 $22.0 $22.5 $22.9 $23.4…Read the full answer